Finally, a government regulator is open to helping cryptocurrency startups and exchanges get access to banking rather than constantly putting up “speed bumps.” Singapore’s CEO of the Monetary Institute (basically its central bank) and chief regulator Ravi Menon is calling on the banking industry to find ways to offer banking services to crypto startups to foster the fintech sector. He commented that Singapore will not be “an extremely lax regulatory environment” for crypto industry firms but rather a helping hand. Further, “(w)hat we are trying to do is to bring the banks and cryptocurrency fintech startups together to see if there is some understanding they can reach.” Finally someone actually wants to help and encourage rowth in the sector, knowing that opening a banking relationship in the crytpo space is extremely important…..but extremely difficult. Go Singapore.
(Bill Taylor/Fintek Capital)
“Monetary Institute of Singapore (MAS) managing director Ravi Menon has called for the banking industry to get over the “hurdle” of offering services to domestic cryptocurrency startups in a marked attempt to foster the fintech industry.
Speaking to Bloomberg, Menon said that while Singapore will not be “an extremely lax regulatory environment” for crypto industry firms locally and beyond, there could be respite coming for startups who have banks reluctant to offer simple banking services like opening banking accounts.
The central bank official stated:
“What we are trying to do is to bring the banks and cryptocurrency fintech startups together to see if there is some understanding they can reach.
The embracive, if cautious, approach is a significant contrast to the likes of India, wherein the central bank forced all regulated financial institutions – including banks – to cease offering services to cryptocurrency firms. The Indian central bank’s move has largely dented the industry, leading to the closure of one of India’s biggest cryptocurrency exchanges recently…”